The purpose of this paper is to explore links between the process of strategy formulation and subsequent performance in operations within firms.
An in‐depth literature review on resource‐based and operations strategy naturally led to three hypotheses. These are then tested using evidence from field‐based case studies of manufacturing/assembly plants in the computer industry.
The research suggests that world‐class plants incorporate both strategic operations content and strategic operations processes, whilst low‐performing plants do not.
It is argued that involving manufacturing/operations managers in the strategic planning process helps align manufacturing and business strategy, and this alignment is associated with higher manufacturing performance. This should be of interest to operations managers and strategists within firms.
By linking strategic alignment and the manufacturing strategy process to world‐class manufacturing practices and performance, this research adds a new dimension to the study of world‐class manufacturing and more generally to the best practices and practice‐performance debates.
